Thu Feb 06 21:10:00 UTC 2025: ## Affirm Shares Surge After Strong Q2 Earnings Beat
**New York, NY –** Buy now, pay later giant Affirm saw its stock price jump over 10% in after-hours trading following the release of its better-than-expected fiscal second-quarter results. The company exceeded analyst predictions across key metrics, signaling strong growth and improved profitability.
Affirm reported gross merchandise volume (GMV) of $10.1 billion, surpassing the $9.64 billion consensus estimate and marking the first time GMV has topped $10 billion. This represents a 35% year-over-year increase. Revenue soared 47% to $591 million, outpacing GMV growth, indicating strong unit economics. Revenue less transaction costs (RLTC) jumped 73% to $419 million, with an RLTC margin of 4.1%, exceeding the company’s long-term target range of 3% to 4%.
The company also announced positive projections for the current quarter, forecasting revenue between $755 million and $785 million, closely aligning with analyst expectations. Affirm reaffirmed its commitment to achieving GAAP profitability by the end of its fiscal fourth quarter of 2025.
Driving the strong performance were several factors, including a significant increase in active consumers (up 23% year-over-year to 21 million) and explosive growth in its Affirm Card user base (up 136% to 1.7 million active users). New partnerships with major players like Apple, Amazon, and Shopify are also contributing significantly to the company’s success. The integration with Apple Pay, announced in June, allows US users to apply for Affirm loans directly through their iPhones and iPads. Affirm’s management will discuss the results further during an earnings call at 5:00 p.m. ET.
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